Local authorities are under a statutory obligation to levy rates on any property used for commercial purposes in accordance with the details entered in the valuation lists prepared by the independent Commissioner of Valuation under the Valuation Act 2001. The levying and collection of rates are matters for each individual local authority.
However, I have urged local authorities to exercise restraint in setting the Annual Rate on Valuation (ARV) in this and previous years and they have responded positively in this regard. Across the 88 local authorities the average change of ARV from 2009 to 2010 shows a decrease of 0.62%. As part of a range of measures to aid economic recovery, I am clear on the need for continued reductions in commercial rates over the coming years.